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Current DateTime: 07:44:45 26 Nov 2009
LinksList Documentid: 30328029

CNBC Stock Blog

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Jun.25
5:17 AM ET
Thursday, 25 Jun 2009
London Movers: RBS, Tullow Oil

Shares of part-nationalized British bank Royal Bank of Scotland rose 4 percent in morning trade, topping London's FTSE-100, after its shares were upgraded to "outperform" from "underperform" by Cazenove.

After it raised 40 billion pounds ($66 billion) in new shares and subscribed 300 billion pounds to the UK government's insurance scheme, the bank addressed the issue of capital adequacy, Cazenove wrote in a research note.

The broker also said RBS' [RBS-LN  Loading...      ()] new management will pare back operations to the core effective, raising the banks' return on equity. Cazenove expects positive developments at RBS over the coming months.

Shares in Tullow Oil [TLW-LN  Loading...      ()] also rose nearly 4 percent because of talk in the media of an imminent bid for its partner on its largest oil discovery off Ghana and hopes of a new discovery elsewhere on the West African coast.

- Reuters contributed to this story

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